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Home My WebLink AboutCP 226 CIT FO WO , TEXAS 0 o � o COUNCIL PROPOSAL Date: File Number: Subject: Consideration of the Designation of the Woodhaven Area as Neighborhood Empowerment 5-13-03 226 Zone Proposed By: Becky Haskin City Manager's Review: Page: City Attorney's Review: PAGE 10F 4 PROPOSAL It is proposed that the City Council: 1. Schedule an item for the City of Fort Worth City Council Agenda on May 27, 2003 to consider designating the Woodhaven area as a Neighborhood Empowerment Zone(NEZ);and 2. Authorize the City Manager to prepare a resolution and an ordinance to designate the Woodhaven area as a NEZ and Reinvestment Zone. 3. The approval of this proposal by the City Council authorizes the City Manager to prepare an amendment to the NEZ Policy Statement on the Creation of Local Neighborhood Empowerment Zone and the NEZ Tax Abatement.Policy and Basic Incentives to provide that in order for a Project in the Woodhaven NEZ to be considered "eligible" to receive NEZ incentives, the Woodhaven Community Development Corporation and the Woodhaven Neighborhood Association must have submitted a letter of support for the Project to the City of Fort Worth. DISCUSSION: I. NEZ Designation Criteria On April 25, 2000 (M&C G-12897), the City Council approved the Policy Statement on the Creation of Local NEZs in accordance with Chapter 378 of the Texas Local Government Code. The City Council also authorized the City Manager to identify neighborhood areas that may be eligible for.NEZ designation and to develop administrative procedures for the NEZ Program. The NEZ Administrative Procedures were adopted by the City Council on October 3,2000 and amended on April 2, 2002 to fine tune program requirements. The procedures included two methods by which a NEZ may be designated: 1)City Council Proposal and designation;or 2)An application process. The proposed Woodhaven area is in need of the financial benefits provided by the NEZ program in order for the community to overcome the adverse economic problems and high incidences of crime. Single family detached units make up 9.2% of the housing stock in Woodhaven while the remaining housing stock is made up of apartments (81.20/6), town homes (3.3%), condominiums (5%) and duplexes (1.3%). In. addition, within the Woodhaven Area there is a great deal of undeveloped, commercially zoned land available. With a targeted business development plan, new businesses can create jobs and provide convenience to the residents of the community. The above reasons had spurred the Woodhaven Community Development, Inc. (WCD), an area community development corporation, to sponsor a collaborative effort among.area entities to seek NEZ designation for the area through City Council Proposal. WCD has submitted a plan according to submission requirements under the NEZ policy. The plan is attached as Attachment A. The boundaries of the proposed NEZ ❑ LEGALITY ❑ FISCAL NOTE ❑ CITY MANAGER'S COMMENTS 11 CITY POLICIES MANUAL CIT FO WO , TEX D p COUNCIL PROPOSAL Date: File Number: Subject: Consideration of the Designation of the Woodhaven Area as Neighborhood Empowerment 5-13-03 226 Zone Proposed By: Becky Haskin City Manager's Review: Page: City Attorney's Review: PAGE 2 OF 4 are Randol Mill Road on the North, Woodhaven Boulevard on the West, Loop 820 on the East and Bridge Street and Interstate 30 on the South(Attachment B). The Woodhaven NEZ has an area of 1.49 square miles and meets the following designation requirements under the City's NEZ policy: • Promote economic development;and • Has an area of less'than 1.5'sq.miles; and • Is at least 50%within the Central City and Community Development Block Grant(CDBG)eligible areas; i and • Is considered distressed based on census data on population,socio-demographic and other factors,and • Meets criteria for Reinvestment Zone designation in that the area is reasonably likely as a result of the designation to contribute to the retention or expansion of primary employment.or to attract major investment in the zone that would be a benefit to the area and that would contribute to the economic development of the City. The plan submitted by WCD identified the specific development opportunities and strategies for the proposed Woodhaven NEZ, as summarized below: II. Development Opportunities Residential Development: The proposed NEZ is predominately a neighborhood of rental housing. There is a total of 5,561 housing units, approximately 87% are rented or leased. In addition to 4,587 apartment units, there are 281 condominiums units,most of which are owned by investors and placed in-a rental pool, and 37 duplexes. + This creates a ratio of 1 owner occupied property for every 8.7 housing units that are rented. WCD's goal is to reduce the number of rental housing units by 12%. Some of the condominiums and apartments can be redeveloped for single-family owner occupied use. There are two vacant tracts of land on Woodhaven Boulevard that can be developed for senior living to meet the ever-growing need of housing for seniors. There are tracts of land on Randol Mill and Bridgewood that can be developed for single-family use. Commercial Development: There are approximately 75 acres of commercial raw land or building sites in the Woodhaven community. It is the WCD's objective to encourage commercial usage consistent with the goals and objectives of the Woodhaven Community, such as major retail developments, restaurants and financial institutions. There are also three vacant commercial buildings inside the proposed NEZ area that can be redeveloped for commercial use. i i .l LEGALITY l FISCAL NOTE 1#u CITY MANAGER'S COMMENTS ❑ CITY POLICIES MANUAL CIT FO WO , TEXAS 0 � COUNCIL PROPOSAL Date: File Number: Subject: Consideration of the Designation of the Woodhaven Area as Neighborhood Empowerment 5-13-03 226 Zone Proposed By: Becky Haskin City Manager's Review: Page: City Attorney's Review: PAGE 3 OF 4 III. Development Strategies Housing: • Single-family residential development will be encouraged for the vacant tracts within the NEZ area that are currently zoned single- family residential. The community will pursue the conversion and the redevelopment of some of the existing apartments into owner occupied condominiums and town homes. The WCD plans to work with financial institutions that need to fulfill their Community Reinvestment Act(CRA) responsibilities to finance the redevelopment of some apartments into condominiums and town homes. • Work with investors to develop the two vacant tracts near the Lakewood Village Retirement Center into housing for seniors. Commercial: • Market the NEZ incentives to prospective developers and businesses operating in the East Fort Worth area. • Support commercial real estate developers willing to construct projects that are consistent with the- community's goals. • Use WCD's relationship with area Real Estate owners to stir commercial development on the vacant commercial tracts. The approval of this proposal by the City Council 'authorizes the City Manager to prepare a resolution an ordinance for the designation of the Woodhaven area as a NEZ and Reinvestment Zone. IV. Neighborhood Support for the Proiect Required in Order to Receive NEZ Incentives It is proposed that the Neighborhood Empowerment Zone Policy and the Neighborhood Empowerment Zone Tax Abatement Policy and Basic Incentives be amended to provide that in order for a Project in the Woodhaven NEZ to.be considered eligible to receive NEZ incentives under the NEZ Tax Abatement Policy and Basic Incentives, the Woodhaven Community Development Corporation and the Woodhaven Neighborhood Association must have submitted a letter of support for the Project. If the applicant does not have a letter of support from each community group, the Project will not be eligible for incentives under the NEZ Tax Abatement Policy and Basic Incentives. The approval of this proposal by the City Council authorizes the City Manager to prepare an amendment to the NEZ Policy Statement on the Creation of Local Neighborhood Empowerment Zone and the NEZ Tax Abatement Policy and Basic Incentives to provide that in order for a Project in the Woodhaven NEZ to be considered ❑ LEGALITY w ❑ FISCAL NOTE ❑ CITY MANAGER'S COMMENTS ❑ CITY POLICIES MANUAL IrCIT FO WO , TEXAS a COUNCIL PROPOSAL Date: File Number: Subject: Consideration of the Designation of the Woodhaven Area as Neighborhood Empowerment 5.13-03 226 Zone Proposed By: Becky Haskin City Manager's Review: Page: City Attorney's Review: PAGE 4 OF 4 "eligible"to receive NEZ incentives, the Woodhaven Community Development Corporation and the Woodhaven Neighborhood Association must have submitted a letter of support for the Project to the City of Fort Worth. LEGALITY: The Department of Law finds that this proposal is legal and that it is within the authority of the City Council. FISCAL NOTE: i The Finance Director certifies that the approval will not require the appropriation of additional funds at this time. CITY MANAGER'S COMMENT: Approval of this Council Proposal will expand the Neighborhood Empowerment Zone(NEZ)program beyond the urban villages previously designated by City Council. This is within City Council authority and has previously been done in the Rolling Hills development. Another noteworthy aspect of this Council Proposal is the deviation from approved City Council policy regarding the granting of NEZ incentives. Under the current policy for NEZ incentives, so long as the Project is within the NEZ boundary and meets minimum eligibility requirements, NEZ Incentives would be granted. This City Council Proposal would add an additional step, approval of the Woodhaven Community Development Corporation and the Woodhaven Neighborhood Association, before an application for NEZ Incentives could be ted. I. LA�2�Lm 0�1� Mayor City Manager C member District2 Councilmember District 3 Councilmember D strict 4 Councilmember District 5 Councilmember District 6 Councilmember District 7 Councilmember District 8 Councilmember District 9 J LEGALITY ❑ FISCAL NOTE ❑ CITY MANAGER'S COMMENTS ❑ CITY POLICIES MANUAL